US President Donald Trump has cut the tariff on small parcels from China and Hong Kong to the US, from 120 per cent to 54 per cent, in a boost to Chinese companies Temu and Shein.
US President Donald Trump has signed an executive order to cut the tariff on small parcels from China and Hong Kong to the US.
The new levy, which was introduced earlier this month, has already been slashed from 120 per cent to 54 per cent.
It came about after some Chinese companies, including the lines of Temu and Shein, had relied on the “de minimis” exemption to send goods worth up to $800 to US-based customers without having to fork out for import fees and taxes.
While there was a 120 per cent tariff introduced, that will now be cut to 54 per cent on Wednesday (14.05.25).
There was also a flat fee of $100 per item introduced for shipments made after May 2nd, and that was due to increase to $200 from June 1st.
However, this increase has now been cancelled.
This comes after the US and China agreed to a 90-day trade war pause on Monday (12.05.25), and Trump said negotiations had led to a “total reset” between the two nations.
Speaking at a press conference at the White House on Monday morning, the US president said: “They’ve agreed to open up China.”
US cuts tariff on small parcels from China
